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Wednesday January 13, 8:19 pm Eastern Time
Company Press Release
Argentina Gold: Hole 100 Opens Up New Target 600
M. North Of The 2.3 Million Ounce Gold Resource
Found at Amable Target
VANCOUVER, British Columbia--(BUSINESS WIRE)--Jan. 13, 1999-- Argentina Gold(VSE:ARP. - news)
Hole 100 Opens Up New Target 600 M. North Of The 2.3 Million Ounce Gold Resource Found at Amable Target.
Hole 98 enlarges high grade section of Filo Federico to the west and significantly enlarges ore resource.
Argentina Gold Corp. (the ''Company'') is pleased to announce the results of Holes 97, 98 and partial results of Holes 99 and
100, drilled at the Company's Veladero project in San Juan, Argentina. Please see attached map (xx).
New Amable North Target - similar geology, geophysics and size as Amable Target to the south
Hole 100, collared 600 metres north of the Amable target, returned (partial results) 80 metres of 1.15 grams per tonne gold
and 11.8 grams per tonne silver, including 33 metres of 1.7 grams per tonne gold and 12 grams per tonne silver.
This new target opens up the entire eastern flank of the Filo Federico and Cerro Pelado diatreme systems indicating the
possibility of continued gold mineralization over a north-south distance of 2 kilometres.
Hole 100 is the first hole to test the Amable North target. This encouraging new target, which is similar in size and with similar
geophysical outlines as the Amable (south) target, may represent the continuity of the Amable model to the north along the
east flank of the Cerro Pelado and Filo Federico diatreme systems. A 2.3 million ounce gold resource (based on results up to
Hole 95) has so far been defined at the Amable (south) target.
Hole 100 shows a similar geology to holes drilled within the Amable (south) target and the Filo Federico target with a
transition from silicification into silica-jarosite zones. The top of the mineralized zone in Hole 100 is at an elevation of 4,350
m.a.s.l. which is the same approximate elevation of the mineralized zones found at Amable and Filo Federico. All these
conditions are pointing towards this new target fitting the regional, well established model that links laterally the feeder breccias
and the surrounding silica-alunite zones as part of the same volcanic system. The data received from Hole 100 show very
promising indications for the mineralized potential of this new target.
The Company is reviewing its drill plans to immediately include Amable North. The Company has today submitted a Phase II
budget to partner Barrick Gold Corp. [NYSE:ABX - news] to drill an additional 8,000 metres (RC) between February-May,
1999.
Western Filo Federico - large sector opened west of high-grade section of 2 million ounce gold resource area - new zone to
be incorporated into resource estimate
Hole 98, which was drilled on the western side of the Filo Federico target, returned 145 metres of 1.1 grams per tonne gold
and 13.1 grams per tonne silver including a 30 metre interval of 3.0 grams per tonne gold and 15.1 grams per tonne silver.
Located 100 metres west of a high grade section of the 2 million ounce gold resource area at Filo Federico, Hole 98 opens
up the Filo Federico resource to the west and enlarges the high-grade section of the Filo Federico resource area represented
by Holes 56, 57, 58, 68 and 72. All these holes had gold mineralization above 1 gram per tonne with large sections of 2 to 4
grams per tonne gold. This new zone, proven by Hole 98, is expected to add significantly to the 2 million ounce resource at
Filo Federico. The higher-grade 30 metre interval of 3.0 grams per tonne gold in Hole 98 correlated with similar high-grade
zones in nearby holes confirm the potential of an enlarged high-grade sector at western Filo Federico.
Approximately 500 metres further to the west is the 400,000 ounce higher-grade gold resource at the NW target. Hole 98
indicates that the Filo Federico resource and the NW resource may be linked. Drilling will continue in this area to further test
the continuity between the two targets. Of interest, as previously reported, Hole 91 encountered gold/silver mineralization 500
metres east of the Filo Federico resource area, proving the continuity of the mineralized model and significantly increasing the
potential of the area.
J. Patricio Jones, President, commented, ''We are thrilled that our recent predictions in New York and Toronto are proving
accurate. New resources incorporated by Holes 96 and 98 and the potential of the new Amable North target increase our
value and our expectations that the value of our shares will be fully recognized.''
Mr. Jones further added, ''With approximately 4.5 million ounces of gold and 119 million ounces of silver resources outlined
so far at the Veladero project and, with several promising new targets uncovered, Veladero is well on the way to being
established as multi-million ounce, world-class deposit and has opened the Valle de Cura region in Argentina as one of the
most important new gold exploration areas in the world.''
Amable Target - continued drilling west and east Hole 99, collared 85 metres west of and in section with Hole 85 returned
(partial results) 64 metres of 0.12 grams per tonne gold and 57 grams per tonne silver, including 36 metres of 0.2 grams per
tonne gold and 79.6 grams per tonne silver.
Hole 99 is the most westerly test of the Amable target to date and has shown a typical decrease of gold grades and an
important increase in silver grades for the western sector of the Amable target. This feature has been observed at the
northwest sector of the Amable target in Holes 82 and 86. This hole and future holes will provide data on the continuity of the
mineralization along the western flank of the target. Typical geology was encountered in this hole, similar to other holes in the
target: tuff ring breccias grading into strong silicified zones, then silica-alunite zones, followed by alunite zones with lesser
silicification.
Hole 97, which was located at the northeasterly flank of the Amable target encountered gold/silver mineralization in a feeder
zone outside of the main silicified zone. When this hole entered the main anomalous zone farther to the west, it was below the
main mineralized horizon (4,300 - 4,100 m.a.s.l.). Further drilling will provide additional definition of the mineralized zone in
the northeastern sector of the target. Drilling will continue, testing the entire eastern flank of the Amable target.
Results from Holes 97, 98 and partial results from Holes 99 and 100 are in the following table.
Hole Total Int- From To Gold Silver Gold Azimuth Co-
Depth erval (m) (m) (g/t) (g/t) Equiv. Angle ord-
(m) x(g/t) inates
100 350 80 259 339 1.15 11.80 1.39 270 -70 2407395 E
incl. 33 306 339 1.70 12.00 1.94 6751200 N
Elev: 4500
99 300 64 98 162 0.12 57.00 1.26 250 -75 2407520 E
incl. 36 98 134 0.20 79.60 1.79 6750505 N
Elev: 4447
98 250 145 50 194 1.06 13.05 1.32 125 -70 2406810 E
incl. 30 93 123 3.02 15.10 3.32 6752585 N
Elev: 4256
97 320 21 104 125 1.30 30.74 1.92 270 -70 2407785 E
and 4 265 269 1.10 25.00 1.60 6750662 N
and 15 287 302 1.10 15.00 1.40 Elev: 4346
(x) 50 g/t Ag = 1 g/t Au
Drilling Continues
The first diamond hole (DDA1), located NNE of Hole 90, is progressing and is currently at a depth of 137 metres. A second
diamond rig is now on the property bringing the total rigs on the Veladero project to four (two RC and two DD).
Hole 101 (70 metres SSW of Hole 96 in the SE sector of the Amable target) and Hole 102 (50 metres E of Hole 76 on the
east flank of the Amable target) are complete with assays pending.
Hole 103 (50 metres E of Hole 96 in the SE sector of the Amable target) and Hole 104 (50 metres WSW of Hole 98 in the
area between Filo Federico and the NW target) are underway.
A summary of all drill results to date for the 1998/1999 season are in the attached table (xx)
Please visit our website for maps and detailed information on the Veladero project. The website address is
www.argentinagold.com
Argentina Gold is the operator of the Veladero project holding a 60 percent interest. The Company's partner, Barrick Gold
Corp., holds the remaining 40 percent. The drill samples are being assayed by CIMM Labs of Chile using top quality control
systems and interlab check assays.
ON BEHALF OF THE BOARD J. Patricio Jones, President
(xx) Note: Location maps and summary drilling tables are available from the company at the telephone number listed in the
contact information.
The Vancouver Stock Exchange has not reviewed and does not accept responsibility for the adequacy or accuracy of this
release.
Contact:
Argentina Gold Corp.
Sophia Shane, 604/689-7842
More Quotes
and News:
Argentina Gold Corp (Vancouver:ARP.V - news; Vancouver:ARP.V - news)
Barrick Gold Corp (NYSE:ABX - news)
Related News Categories: mining/metals
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